Government Proposes Mandatory Online Payments for Copyright License Fees

The core of the proposed amendment is the introduction of a new Rule 83(A) in Chapter XVIII of the Copyright Rules, 2013, which mandates an online payment system for certain copyright licenses.

Key Proposed Change: Mandatory Online Payment Mechanism

The draft rule, 83(A). Manner of Payment of Licence Fee, states:

“Notwithstanding anything contained in any other provision under these Rules, the owner or licensor of a literary work, musical work, and sound recording shall establish and maintain an online payment mechanism for the collection of license fee payable by a licensee for communication to the public of such work.”

Furthermore, it explicitly states: “All payments of such license fee shall be processed exclusively through said online system, and no alternative method of payment shall be permitted or accepted for this purpose.”

This amendment is poised to bring greater transparency, efficiency, and ease of transaction for both licensors and licensees of literary works, musical works, and sound recordings when these are communicated to the public.

The Central Government will consider all objections and suggestions received from the public regarding these draft rules. Interested parties are requested to submit their feedback by post to the Additional Secretary, Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India, Vanijya Bhawan, New Delhi-110011, or via email to ipr7-dipp@gov.in. The deadline for submission is July 5, 2025.

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